- Sandisk shares rose as much as 7.8% on Friday and were still up 7.5% at midday, driven by the company's upcoming addition to the S&P 100.
- Sandisk replaces longtime index member Colgate-Palmolive in the S&P 100 before the start of trading on Monday, Sept. 21.
- The move higher reflects expected buying by index funds and ETFs tracking the S&P 100, while longer-term benefits are limited to increased institutional visibility.
- Sandisk fiscal Q4 2026 revenue rose 372% year over year and 51% sequentially to $8.97 billion, with diluted EPS of $43.97 versus a prior-year loss.
- AI memory-chip demand shows no signs of slowing, and the article flags Sandisk at 24 times trailing earnings and 8 times forward earnings.
Quotes
“Over the short term, Sandisk stock will likely get a boost as its membership in the S&P 100 will spark a wave of buying by major index and exchange-traded funds that track the index -- which is likely driving today's move higher.”
“In the longer term, inclusion will likely have no impact beyond the prestige and bragging rights that come with membership.”
“The unprecedented demand for memory chips used for artificial intelligence (AI) shows no signs of slowing, and at just 24 times earnings and just 8 times forward earnings, Sandisk stock is still attractively priced.”
“Earlier this month, S&P Dow Jones Indices announced that Sandisk would be added to the S&P 100, replacing longtime member Colgate-Palmolive, before the start of trading on Monday, Sept. 21.”